USDX (USD Index)
U.S dollar index turned lower again after Powell speech today. In the speech, there is no change of tone as the Fed will wait for more data but mentioned possibility of rate-cut in September. This raise market expectation and the U.S dollar index under pressure. Despite the situation, the index has not printed a new lower swing low which mean the situation back to stalemate. When the index breakout and print new lower swing low, it will become the confirmation of bearish continuation.
EUR/USD
EUR/USD moving upward after the bounce from 1.1580 support level. It is currently trading near the 1.1710 and will attempt for bullish breakout. Up until now, no breakout from 1.1580 – 1.1710 area yet, which mean the situation still neutral. However, there is a chance that the current bullish move could finally break out and set the bullish continuation. Traders might want to wait the daily close to get confirmation.
Today’s critical levels to watch:
Support: 1.1580, 1.1500, 1.1360, 1.1300
Resistance: 1.1710, 1.1820
GBP/USD
GBP/USD return inside the 1.3450 – 1.3600 area, just one day after bearish close below it. We could interpret it as a fake bearish breakout and an attempt toward 1.3600 will happen soon. A bullish breakout could happen in the attempt. However, the same as before, until an actual breakout with strong momentum happen, it is best to assume the pair will continue trading inside 1.3450 – 1.3600 area.
Today’s critical levels to watch:
Support: 1.3450, 1.3330, 1.3300, 1.3250, 1.3125, 1.3050, 1.3000
Resistance: 1.3600, 1.3800, 1.4000
USD/JPY
USD/JPY extended the upward movement and almost reach the daily SMA 200 today. However, Powell speech turn the market upside down and the pair looks ready to continue the massive bearish candlestick movement. No new low yet which mean the situation is favorable for the bear, but it could reverse anytime. Traders will wait the daily close to get better confirmation.
Today’s critical levels to watch:
Support: 145.00, 142.00,
Resistance: 149.20, 150.00, 151.00
AUD/USD
AUD/USD stop the bearish movement today and launch upward with strong momentum. It returns to the 0.6500 level or the starting level of the week. It seems the market not allowing the pair to reach the daily SMA 200 and quickly turn the trend again. If the pair continue upward, then it could target the top trend line, and 0.6700 – 0.6750 area.
Today’s critical levels to watch:
Support: 0.6350, 0.6250, 0.6000
Resistance: 0.6500, 0.6700